Claiming laptop bought before started company

[Mehmeh]

Hi guys,

Hope everyone's having a great christmas!

I'm going to go limited when I get my next contract (hopefully 2nd week of january...but might fall through)

ANYWAY... I'm in need of a new laptop, and I want to buy it soon, I remember reading on here before that myLTD could buy the laptop off of me, or claim it as an expense. but how long is that for?

I.e if i buy the laptop now...and then go LTD in march, can I still put the laptop through the company to right it off against profits?? is there a time limit?

Thanks!!

[TheVoice]

Hi Meh! (Love the username...!)

As I understand it yourCo can buy the laptop from you personally at any time, it doesnt really matter so long as there is an audit trail & a legal "sale" happening there. I'm not sure about the premature purchasing for company but you can certainly buy it personally & then make a sale to yourCo when it's running

Now, there may be some better versed people that I around who say different & I will bow to their knowledge, but that's my understanding of it.

Just promise me you won't get an Acer...please!!

[Clippy]

I believe that if you purchase the laptop within 6 months of setting up your company, you can claim the full amount.

If you setup your company after 6 months of purchasing the laptop then you can only reclaim the market value of the laptop.

As ever, I am not qualified to give this advice so would suggest you ask an accountant.

[pmeswani]

I believe that if you purchase the laptop within 6 months of setting up your company, you can claim the full amount.

If you setup your company after 6 months of purchasing the laptop then you can only reclaim the market value of the laptop.

As ever, I am not qualified to give this advice so would suggest you ask an accountant.

If the OP is buying it for the purpose of his / her Ltd company, it may be prudent to think of the business name (even though the intent is to set up the company in a few months time) and use that when purchasing the Laptop, as this would possibly make it easier to claim it against the business cost.

[Paddy]

Amateurs! In true Enron and Lehman Brothers style your laptop becomes an asset off your Cayman Island company that pays only £500 per year fixed tax. Your Cayman Island company leases the laptop to your UK company together with training at a rate of £1500 per month. You then withdraw the cash from the Cayman Islands via a numbered ATM account.


By the way Lehman Bros sent every penny off shore on a daily basis, when the auditors arrived the only cash left was in a separate account put aside for bonuses. Not even a slap on the wrist.

[VectraMan]

I did this (not the Enron thing, the buying a laptop before the company started thing). I even reclaimed the VAT.

It was about 2 months beforehand, but the accountant said it was fine to do this (as long as for business purposes etc.).